A company that follows a low-cost strategy could reasonably be expected to reduce costs by:
A) increasing the number of business processes.
B) adopting lean production and flexible manufacturing technologies.
C) implementing first-in-first-out inventory control systems.
D) taking steps to increase customer churn.
E) abandoning economies of scale and learning effects.

Question

Quizplus · Accepted Answer

Adopting lean production and flexible manufacturing technologies are both methods to reduce costs in a company's operations. By streamlining processes and being more efficient, the company can save money and offer lower prices to customers, aligning with a low-cost strategy. The other options are not effective ways to reduce costs for a low-cost strategy.

A Company That Follows a Low-Cost Strategy Could Reasonably Be